Criminal Justice News

Wednesday, May 02, 2012

Former Acting Director of Intelligence for U.S. Immigration and Customs Enforcement Pleads Guilty to Role in Fraud Scheme

Scheme
Involved More Than $180,000 Obtained Through Travel Vouchers And Fraudulent
Time and Attendance Claims

WASHINGTON—James M. Woosley, 48, the
former acting director of intelligence for the U.S. Department of Homeland
Security (DHS) Immigration and Customs Enforcement (ICE), pleaded guilty today
to defrauding the government of more than $180,000 in a scheme involving fraudulent
travel vouchers and time and attendance claims.

The plea was announced by U.S. Attorney
for the District of Columbia Ronald C. Machen Jr.; Charles K. Edwards, Acting
Inspector General of the Department of Homeland Security; James W. McJunkin, Assistant
Director in Charge of the FBI’s Washington Field Office; and Paul E. Layman,
Deputy Division Director of ICE’s Office of Professional Responsibility.

Woosley, formerly of Tucson, Arizona,
pleaded guilty in the U.S. District Court for the District of Columbia to a
charge of conversion of government money. U.S. District Judge Amy Berman
Jackson scheduled sentencing for July 13, 2012. Under federal guidelines,
Woosley faces a likely sentence of 18 to 27 months in prison as well as a
potential fine. In addition, as part of his plea agreement, he agreed to
forfeiture of the money he wrongfully obtained.

Four others earlier pleaded guilty to
charges related to the scheme: Ahmed Adil Abdallat, 64, a former ICE
supervisory intelligence research specialist, pleaded guilty in October 2011;
William J. Korn, 53, a former ICE intelligence research specialist, pleaded
guilty in December 2011; Stephen E. Henderson, 61, a former contractor doing
work for ICE, pleaded guilty in January 2012; and Lateisha M. Rollerson, 38, a
former assistant to Woosley, pleaded guilty in March 2012. Abdallat pleaded
guilty in the Western District of Texas, and the others pleaded guilty in the
District of Columbia.

All told, the actions of the various
defendants cost ICE more than $600,000.

“Today James Woosley became the
fifth—and highest-ranking—individual to plead guilty as part of a series of
fraud schemes among rogue employees and contractors at ICE,” said U.S. Attorney
Machen. “He abused his sensitive position of trust to fleece the government by
submitting phony paperwork for and taking kickbacks from subordinates who were
also on the take. This ongoing investigation demonstrates our dedication to
protecting the taxpayer from corrupt government employees and contractors.”

“Criminal acts within the Department of
Homeland Security represent a threat to our nation and undermine the honest and
hard-working employees who strive to maintain the integrity of the department,”
said Acting Inspector General Edwards. “OIG takes all allegations of employee
wrongdoing very seriously. Those who choose to break the law will be pursued
aggressively.”

“Today, Mr. Woosley admitted to a scheme
in which he spent years defrauding the government,” said Assistant Director in
Charge McJunkin. “This plea should serve as a reminder to all who serve in
positions of public trust—if you use those positions for personal gain, you
will be held accountable.”

“Today’s plea reflects the outstanding
law enforcement cooperation in a case that unmasked the illicit acts of a
senior ICE official,” said Deputy Division Director Layman. “This case was an
egregious breach of the public’s trust and is atypical of the integrity
displayed by ICE employees on a daily basis. ICE’s Office of Professional
Responsibility will continue to ensure that the employees of the agency are
held to the highest standards of professional conduct. Guarding against illegal
or unethical behavior is not an option; it is an obligation we have to the
people we serve.”

According to the government’s evidence,
with which Woosley agreed, from in or about May 2008 until in or about January
2011, Woosley participated in the fraudulent activity involving travel vouchers
and time and attendance claims. In addition, from June 2008 until in or about
February 2011, Woosley was aware of or willfully overlooked fraudulent activity
of ICE employees under his supervision or contract employees.

The other employees included Rollerson,
who he met in or about 2007, while he was Deputy Director for ICE’s Office of
Intelligence. Woosley and Rollerson developed a close, personal relationship.
In or about May 2008, Rollerson was hired as an intelligence reports writer for
a company that did contract work for ICE. Later that year, she was hired by ICE
as an intelligence research specialist. This placed her first in the chain of
command under Woosley, and she later became Woosley’s personal assistant.
Rollerson’s official duty station was in Washington, D.C., and she lived in
Virginia, often with Woosley. Rollerson helped Woosley and the other
participants with the paperwork to support the fraudulent payments they later
received.

Woosley admitted obtaining money in
various ways:

■Between in or about May 2008 and
January 2011, Woosley submitted or caused to be submitted approximately 13
fraudulent travel vouchers to ICE, at a cost of $50,637. As Woosley’s
assistant, Rollerson created all but one of the travel vouchers, as well as
fraudulent documents to support the claimed expenses. She often accompanied him
on the trips.

■Between in or about November 2009 and
January 2011, Woosley submitted or caused to be submitted time and attendance
claims for his pay for work he was supposed to be doing while he was on travel.
Because he was not actually on travel or working, he was not entitled to the
payments of approximately $27,230.

■Starting in 2008, Woosley took a share
of the fraudulent proceeds obtained by others in a scheme involving travel
vouchers. For example, Henderson, an ICE contractor who was detailed on
temporary duty to Washington, D.C., kicked back $5,000 to Woosley that was used
to purchase a boat. Henderson also lived with Woosley and used some fraudulent
proceeds to pay rent. Abdallat wrote checks to Rollerson and others for the
benefit of Woosley and Rollerson totaling about $58,550. Korn kicked back about
$30,648 to the benefit of Woosley and Rollerson. Finally, an unnamed contract
employee gave $15,940 in fraudulent travel voucher funds to Woosley, which
Woosley used for a real estate investment.

This case was investigated by the DHS
Office of Inspector General, the FBI’s Washington Field Office, and the ICE
Office of Professional Responsibility, Special Investigation Unit.

In announcing today’s guilty plea, U.S.
Attorney Machen, Acting Inspector General Edwards, Assistant Director McJunkin,
and Deputy Division Director Layman praised the investigative agents from the
respective agencies for their hard work in this matter. They also acknowledged
the efforts of former Legal Assistant Jared Forney, as well as Assistant U.S.
Attorneys Daniel Butler and Allison Barlotta, who are handling this
prosecution, and Assistant U.S. Attorneys Scott Sroka and Emily Scruggs, who
are handling the asset forfeiture.